Belpointe PREP and Belpointe REIT Announce Extension of Exchange Offer

Rhea-AI Summary

Belpointe PREP and Belpointe REIT announced an extension of their exchange offer until June 18, 2021. As of May 26, 2021, 461,302 shares, about 44.70% of outstanding stock, were tendered. Belpointe PREP anticipates the offer will be completed soon after the extension, pending remaining conditions. Additionally, Belpointe PREP plans to offer up to $750 million of Class A units at $100 each, seeking to be listed on NYSE American under the symbol 'OZ.' This initiative aims to enhance investments in qualified opportunity zones across the U.S.

Positive

• Extension of exchange offer provides additional time for shareholders to participate.
• Approximately 44.70% of outstanding shares have been tendered, indicating shareholder interest.
• Anticipated listing of Class A units on NYSE American may enhance liquidity and visibility.
• Planned investments in diverse real estate sectors could lead to significant growth.

Negative

• None.

GREENWICH, Conn., May 27, 2021 /PRNewswire/ -- Belpointe PREP, LLC ("Belpointe PREP") and Belpointe REIT, Inc. (OTCQX: BELP) ("Belpointe REIT") announced today an agreement to extend the offering period of the previously commenced offer to exchange to 11:59 P.M., New York City time, on June 18, 2021.

Securities Transfer Corporation, the exchange agent for the offer, has advised Belpointe PREP that, as of 7:00 P.M., New York City time, on May 26, 2021, 461,302 shares of common stock of Belpointe REIT, representing approximately 44.70% of the issued and outstanding Belpointe REIT shares, were tendered pursuant to the exchange offer. Stockholders who have already tendered their shares of common stock of Belpointe REIT do not have to re-tender their shares or take any other actions as a result of the extension of the expiration of the exchange offer.

Belpointe PREP expects the exchange offer will be consummated promptly following the expiration of the offering period (as hereby extended), subject to the satisfaction or waiver of the remaining conditions to the consummation of the exchange offer set forth in the merger agreement.

The exchange offer is subject to certain conditions described in the offer to exchange. Copies of the offer to exchange and related letter of transmittal have been filed with the Securities and Exchange Commission ("SEC") and can be obtained from the SEC's website at www.sec.gov or by contacting Belpointe PREP at:

Investor Relations
Belpointe PREP, LLC
255 Glenville Road
Greenwich, Connecticut 06831
IR@belpointeoz.com

About Belpointe PREP, LLC

Concurrently with the proposed offer to exchange and related transactions Belpointe PREP has filed a registration statement on Form S-11 with the SEC pursuant to which it proposes to offer on a continuous basis up to $750,000,000 of its Class A units in a primary offering at an initial price equal to $100.00 per unit.

Belpointe PREP has applied to have its Class A units listed on NYSE American under the symbol 'OZ,' and once the proposed offer to exchange and related transactions close, Belpointe PREP will become the first QOF traded on a national securities exchange.

Belpointe PREP's initial investments consist of and are expected to continue to consist of properties located in qualified opportunity zones for the development or redevelopment of multifamily, student housing, senior living, healthcare, industrial, self-storage, hospitality, office, mixed-use, data centers and solar projects located throughout the United States and its territories. Belpointe PREP also anticipates identifying, acquiring, developing or redeveloping and managing a wide range of commercial real estate assets located throughout the United States and its territories, including, but not limited to, real estate-related assets, such as commercial real estate loans and mortgages, and debt and equity securities issued by other real estate-related companies, as well as making private equity acquisitions and investments, and opportunistic acquisitions of other qualified opportunity funds and qualified opportunity zone businesses, with the goal of increasing distributions and capital appreciation.

About Belpointe REIT

Belpointe REIT is the first publicly traded QOF. Belpointe REIT's investments consist of properties located in qualified opportunity zones for the construction and/or renovation of multifamily, student housing, senior living, healthcare, industrial, self-storage, hospitality, office, mixed-use, data centers and solar projects located throughout the United States and its territories.

Cautionary Statement Regarding Forward-Looking Statements

Statements contained in this press release that are not historical facts are based on current expectations, estimates, projections, opinions and beliefs of Belpointe PREP. Such statements involve known and unknown risks, uncertainties and other factors, and undue reliance should not be placed thereon. Certain information contained in this press release constitutes "forward-looking statements," which can be identified by the use of forward-looking terminology such as "may," "will," "should," "seek," "expect," "anticipate," "forecast," "project," "estimate," "intend," "continue," "target," or "believe" or the negatives thereof or other variations thereon or comparable terminology. However, the absence of these words does not mean that statements are not forward-looking. Any forward-looking statement expressing an expectation or belief as to future events is expressed in good faith and believed to be reasonable at the time such forward-looking statement is made. However, these statements are not guarantees of future events and involve risks, uncertainties and other factors beyond Belpointe PREP's control. Therefore, actual outcomes and results may differ materially from what is expressed in any forward-looking statement.

Additional Information

This press release is for informational purposes only and does not constitute an offer to sell or solicitation of an offer to buy any securities or solicitation of any vote or approval. The anticipated offer to exchange described herein has not yet commenced, and while Belpointe PREP intends to commence and subsequently complete the offer to exchange as soon as reasonably practicable, there can be no assurance that Belpointe PREP will commence or complete the offer to exchange on the terms described herein, or at all.

Prior to making any decision with respect to the proposed offer to exchange, holders of Belpointe REIT common stock should carefully read the information contained in the offer to exchange, letter of transmittal and related materials, including the various terms of, and conditions to, the offer to exchange, as well as any other documents that Belpointe PREP or Belpointe REIT may file with the SEC.

Investor Relations and Media Contact:

Cody Laidlaw, Principal
(203) 883-1944
310989@email4pr.com 

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SOURCE Belpointe

FAQ

What is the extension period for the Belpointe REIT exchange offer?

The exchange offer period has been extended until June 18, 2021.

How many shares were tendered in the Belpointe REIT exchange offer?

As of May 26, 2021, 461,302 shares, approximately 44.70% of outstanding shares, were tendered.

What is the symbol for Belpointe PREP’s Class A units?

Belpointe PREP has applied for its Class A units to be listed under the symbol 'OZ.'

How much is Belpointe PREP planning to raise through its offering?

Belpointe PREP plans to raise up to $750 million through its offering of Class A units.

What types of investments will Belpointe PREP focus on?

Belpointe PREP will focus on properties in qualified opportunity zones, including multifamily, healthcare, and industrial sectors.